question about oops and panic

quoted

1. I think oops and panic are both some way to deal with errors occurs
in kernel space. Is there any relationship between them?

AFAIK both are same.

quoted

Really? I thought "oops" would be generated for critical errors like
processor exceptions etc when a kernel CANNOT proceed further in a
reliable way...whereas a "panic" was _artificially_ induced (?), eg: a
missing 'init' to run (very common error, which I'm sure most of us
here would've experienced :)), and the kernel _may_ proceed further
with some reliability

Wikipedia, has a decent explanation of it:

http://en.wikipedia.org/wiki/Linux_kernel_oops

HTH,
-mandeep